There are at least three key actions that could make it easier for you to receive a third stimulus check without delay.
The Internal Revenue Service (IRS) has insisted that taxpayers submit their direct deposit information to the agency as part of their tax return to receive not only the fastest refund but any stimulus checks for which they are eligible.
In the past two rounds of distribution of the so-called “Economic Impact Payments,” the largest amount of funds were first transferred to the bank accounts of individuals who provided the information to the office for direct deposit.
In the event of a third round of stimulus checks, which is expected to be approved by the U.S. Congress no later than March 14, the IRS will follow the above guidelines for processing the money.
The first to receive payments will be direct deposit beneficiaries, including recipients of government assistance such as Social Security Administration programs.
Three tips for requesting direct deposit from the IRS
As it is, the first recommendation for receiving the third payment faster through direct deposit is to file your 2020 tax return electronically as soon as possible, particularly if you have not provided the IRS with your direct deposit banking information.
In that case it is necessary to submit it along with the tax documentation.
“Eight out of 10 taxpayers get their refunds through direct deposit. The IRS uses the same electronic transfer system to deposit tax refunds that other federal agencies use to deposit nearly 98 percent of all Social Security and Veterans Affairs benefits into millions of accounts,” the IRS notes on its website.
The procedure is to request direct deposit as a refund method when using tax software or working with a tax preparer and include the account and routing number.
It is important that taxpayers submit information for accounts that are in their name, their spouse’s name or both if it is a joint account.
By using direct deposit, a taxpayer can divide his or her refund into up to three financial accounts, including an individual bank or retirement account.
A third key to ensuring that the refund and the next stimulus payment reaches you without delay through direct deposit is to make sure you provided the correct account information.
There have been reported cases of recipients who did not receive their stimulus payments electronically on time because the account information for deposit contained errors, and the IRS had to resend the money in a paper check.
It should be noted that if you did not receive the previous two stimulus payments while eligible and will be requesting them through a “Refund Recovery Credit” on your tax return this year you can also go through the process to request that the payments due be sent to your bank account.